Fort Walton Beach Council agenda — 12-20-05 — reading text

29.95 8125 . Barn and Animals 373. 18 8140 . Contributions 0.00 8180 . Dues and Subscriptions 100.00 6175. Enterainment.fair 0.00 8180. lnsurance 0. 00 6200 . Interest Expense 0.00 8230 . Licenses and Pennits 0.00 0.00 0. 00 0,00 0.0% 8238 . Milage 8240 . Miscellaneous 0.00 8245 . MUSEUM 0.00 8260 . Postage and Delivery 15,88 8270 . Professional Fees 0.00 6274 . Prisoners 0.00 8292 . Property Rent 0.00 6300 . Repairs & maintenance 3, 302.41 855.70 0. 00 855.70 100,0% 6310 . Equipment Repairs & Maintenance 6320 . salaries and Wages 1, 190. 00 6333 . 223.59 Supplies-General 6337 . LATE FEESIINTERST 0.00 6340 . Telephone 773.99 6345 . Taxes-Payrol 0.00 6350 . Travel \& entertainment 1, 126. 77 6351. Tools 0.00 6390 . Utilities 2,645.24 6450 . Contract Labor 0.00 6660 . 0IIice Expense 240.00 6580 . Payroll Expenses 3, 047. 50 6172 . TeCHBOWL 0.00 14, 172.56 0.00 14,172. 56 100.0% Total Expense 2,482. 12 0.00 2,482. 12 100. 0% Net Ordinary Income 0. 00 2,482. 12 100.0% filet Income 2,482. 12 Page 12  7567 j Doc- 20- 05 11 : 57; & Pago 1/ 2 1 850 664 tf nt LY: HOLMES AUTO REPAIR j V 3 ~ - :;;:.: J; C'.. ~ 5.30 PM Re: Special City Council Meeting Tuesday December 20, 2005 It is noted that tbis. sensitive item is being brought up before a Special Council Meeting execution date called for a Tuesday just before Christmas with the inference that there is a critical that musts be met, By the nature of a quick- call 'council mentioning the item receives minimal public exposure, 8S there may be DO TV or press coverage. Background information states the city borrowed $2 million to purchase the property to compare the proposed paying $252, 270. annually for ten years, No interest rate is divulged rent with the annual debt service or interest. Line 13 States: -- land described and marked as " 1'! and " 2" on Exhibit A,-- particularl)' These areas seem to exclude the North East corner which includes a mobile home, probably used by a caretaker. What will be the permitted use of the mobile home an who receives any compensation for its use? Une 15 states; ''the City council shan pennn the use of specific delineated parking areas for the time period of any approved event." The attached P1an of Operation includes 215 event that the days representing tbe proposed approved events allowing gratis parking. ( Noted Chamber of Commerce will now have two brea1d8st events next year at the fairgrounds, This appears to be a new u. cmge.) Line 17 States: " B. Licensee shall providet prior to January 1 2006 an Operating Plan. The Operating Plan sha11 include at a urlnimmn, - _." No requirement is stated to diwlge the level of for any preceding year to judge if the rent will be equitable to both parties. operation Line 57 States: 4iA Rent shall be paid monthly annually on J January of each year." Is rent due in 12 monthly incrementS of in one annual lump sum. There is no payment due date other than specifYing 1 January and there is no Jate without payment penalty. Taken to the absurd the licensee could defer rent payments indefinitely penalty while the city is obHgatcd to make thnely loan payments. Thee are four alternatives: Have no due date or penalty as stated. the expiring Forest Service lease Section Incorporate the terms and conditions of D," This is a very comprehensive statement that has been in existence so the city should be entitled to the same protection. Use any tenninology used in the $ 2 mi11ion Joan agreement. What is imposed on the city should be mir treatment. S~ nt Bv: HOLMES AUTO REPAIR' 1 850 664 7567; Dec- 20- 05 11 : 57AM; Page 2/ 2 f . ' Late payment grace period und penalty should be no less than what the city imposes on its utility customers. Une 58 Sates: --- sball be $ 20tOOO. annually. Additionally, rent shall include an t' additional 5% gross receipts -. and paid. It is not specified when such proceeds are to be documented amount of such payments to Tbere is no apparent backup dtUa indicating the probabJe low. evaluate the:fkimess of total compensation.. A 5% commission/fee is very lease with the Fair Association that provides no On its fi1cc this is an extremely generous 1.0 the general city population that bas to carry the loss of $2 million in significant public service retire the loan. reserves consumed in the purchase and the $2, 552, 700. debt service to In purchasing this property the city, therefore taxpayers, are probably loosing on reserve baJffor drawdown and Joan interest at least ' 160, 000. annually while renting out essentially fee. 20, 000. armually and an unknown rent This is a pour deal for city taxpayers. of equitable compensation is rejected fur further negotiation The world will not end if this for the city. Those in the know said that Bull would corne out on top. 1. ~~ 10: 31 AM Northwest Florida Fair Association 12/31104 Profit & Loss Budget vs. Actual Cash Basis January through December 2004 TOTAL Jan - Dee 04 Budget $ OVer Budget % of Budget Ordinary IncomelExpense Income 4050 . Conmission Income 57.80 4100 . Income - fair admin 0.00 00,000.00 - 60,000.00 0.0% 4110 . Grants 0.00 50,000.00 - 50,000.00 0.0% 4111 . Income - fair booth 0.00 20,000,00 - 20,000.00 0.0% 4120 . Income - fair rides 0.00 50,000.00 - 50,000.00 0.0% 4130 . Income - fair mise